If you have to ask . . . .
Originally Posted by
troyintn
I agree, since the government is not getting all the tax money from the fees, similar to the airline fees.
IME that is not true. You will see a separate line item on both the reservation and your invoice for taxes on destination fee.
The benefit for the hotel (apart from whatever it reaps from falsely advertising a lower price) is that there's no points accrual on destination/resort fees.